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Buffett Rule

In: Business and Management

Submitted By kalyngeathers
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The Buffett Rule is a rule to ensure that no household making over 1 million dollars annually should pay a smaller share of their income in taxes than middle class (Buffet Rule). In the recent years Obama has sent a proposal an amendment called the buffet rule but is also known as the Paying A Fair Act of 2012. This amendment says that the Internal Revenue Code to require an individual taxpayer whose adjusted gross income exceeds $1 million to pay a minimum tax rate of 30% of the excess of the taxpayer's adjusted gross income over the taxpayer's modified charitable contribution deduction for the taxable year (tentative fair share tax). This rule will ensure that the 1 percent of Americans that are millionaire they will have to pay at least 30 of the income towards their taxes unless they are giving a large portion of the annually gross income to charity of their chose. This will pervert a large majority of the millionaires from getting through in loophole the system has.
The proposal will not tamper with existing tax rates. Instead, under the proposal, those making more than $1 million a year would be required to calculate their overall tax rate, taking into account all their income and the full sum of what they pay in taxes. If that amount adds up to less than 30 percent, they would be required to make up the difference. The Buffett Rule would limit the degree to which the best-off can take advantage of loopholes and tax rates that allow them to pay less of their income in taxes than middle-class families.
Anyone who does well for themselves should do their fair share in return, so that more people have the opportunity to get ahead—not just a few. And at time when we need to pay down our deficit and invest in the things that help our economy grow and keep our country safe—education, research and technology, a strong military, Medicare and Social Security—giving…...

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